2, Vietnam’s stock market operation

a, An overview:

Vietnam's stock market operates similarly to other markets globally. It provides a platform for buying and
selling shares of publicly listed companies. The market is regulated by the State Securities Commission of
Vietnam (SSC). Investors trade stocks through brokerage firms, and prices are influenced by factors like
company performance, economic conditions, and investor sentiment. Additionally, the Vietnam Stock
Exchange (HOSE) and the Hanoi Stock Exchange (HNX) are the two primary exchanges where stocks are
traded.

b, Vietnam stock market’s components and their contributions to carrying out transactions:

b1, Regulator: https://lawnet.vn/thong-tin-phap-luat/en/tu-van-luat/what-is-state-securities-

commission-tasks-and-powers-of-the-state-securities-commission-in-vietnam-121659.html

The SSC is an organisation under the Ministry of Finance responsible for the regulation and supervision
of securities and the securities market, and for the management of public services relating to such
markets. The SSCV was founded on November 28, 1996. The SSCV's Vice Chairman is Pham Hong Son.

The SSCV has tasks such as:

 Enhancing the quality of securities firms

 Shutting down and revoking licenses of financially-weak companies
 Improving the quality of products and services of securities firms

b2 , Stock exchanges:

Stock exchanges are secondary markets where existing shareholders can transact with potential buyers.
Corporations listed on stock markets do not commonly buy and sell their shares but may engage in stock
buybacks or issue new shares but these transactions occur outside of the framework of the exchange.

Vietnam has three stock exchanges:

 Ho Chi Minh Stock Exchange (HOSE): was established in 2000 and is based in Ho Chi Minh City.
HOSE trades Monday through Friday, except on public holidays.
 Hanoi Stock Exchange (HNX) was established in 2005.
 Unlisted Public Company Market (UPCOM) started trading in 2009.

b3, Public or listed companies:

Not all companies can offer stock to the public. Companies interested in going public must meet certain
criteria set by the SSC and the respective stock exchange. Therefore, only public companies that have
offered their shares for the first time in an initial public offering (IPO) can have their stock bought and
sold on exchanges like the HOSE and HNX.

b4, Trading mechanism:

The stock market operates through a centralized electronic trading system. Trading hours typically run
from morning to afternoon on weekdays, with a break for lunch.
If you want to invest in the stock market, the process to get started is easier than you think:

Step 1: Decide what kind of account you want to open.

Step 2: Open a brokerage account.

Step 3: Deposit money.

Step 4: Choose your investments.

Step 5: Purchase your investments.

b5, Investor participation:

Those involved in the stock market include institutional investors that manage large amounts of money
and often have a significant influence over the market since they are trading in large volumes. Retail
investors buy and sell securities for their personal accounts—not for an organization. They can range
from beginners to experienced traders, and today, most use online platforms. Another key group is
accredited investors, high-net-worth individuals with the money and investing experience, so in US the
SEC allows them access to more complex investments, like venture capital and private equity.

b6, Vietnam’s market index: https://tradingeconomics.com/vietnam/stock-market

https://www.investopedia.com/articles/investing/082614/how-stock-market-works.asp#toc-what-is-a-
stock

https://www.investopedia.com/terms/s/stockmarket.asp#toc-how-does-the-stock-market-work

https://www.forbes.com/advisor/investing/what-is-the-stock-market/

https://www.cfainstitute.org/-/media/documents/article/rf-brief/rfbr-apac-capital-markets-vietnam.pdf
b3,stock market index

b4, other types of market

b5,how to invest

Sometimes the best way to see how something works is to look at its parts. In that light, let's review the
major elements of the stock market, from the companies selling shares to stocks to exchanges to the
indexes that give us a snapshot of the stock market's health:

B2, stocks

B4, OTC MARKET

B5, other assests traded

B6, investors and traders

B7, brokers

B9, stock prices

B10, market index

1,stock 3,index

4, why companies issue share 5,prices are set